Presenter(s)

    Thomas F. Roebker

    Comments

    Presentation: 9:00-10:15, Kennedy Union Ballroom

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    Description

    The demand for housing is considered to be inversely related to rising interest rates, particularly mortgage rates. In this study, however, I make the assumption that the Federal fund rate is a predictor of a future decline in economic activity which should be reflected in stock returns for the housing sector. I look at four periods of rising Federal Fund Rates spanning the overall period 1999-2023. If the distribution of returns is skewed left, then my assumption holds. If skewed to the right, then it does not hold. I utilized the top 20 stock returns by market capitalization in the housing sector to carry out my analysis.

    Publication Date

    4-17-2024

    Project Designation

    Independent Research

    Primary Advisor

    Robert D. Dean, Jon A. Fulkerson, Henry G. Willmore

    Primary Advisor's Department

    Economics and Finance

    Keywords

    Stander Symposium, School of Business Administration

    Institutional Learning Goals

    Scholarship; Vocation; Community

    Housing stock returns and rising interest rates. Is there an Inverse Correlation?

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